Should a VP of Sales Have a Quota with a Small Team?

Should your VP of Sales carry a quota when you only have four sales reps? The answer is nuanced. A small, temporary quota can be reasonable, especially in the initial "player-coach" phase. However, their primary focus should be building a strong foundation for growth.

Prioritizing Leadership Over Closing

A VP of Sales with a small team should prioritize hiring, onboarding, and enabling their reps. Carrying a quota should only be a temporary measure, necessary for hitting immediate revenue goals. Their main job is to build scalable processes, not to be the top closer.

Key Responsibilities for a VP of Sales with a Small Team

  • Expand the team: Aim for 6-8 reps to establish predictable performance patterns.
  • Ensure current reps achieve quota: Identify and address any roadblocks, whether lead flow, training, or other issues.
  • Implement repeatable processes: Establish consistent systems for pipeline management, forecasting, and closing deals.

A VP of Sales effectively performing these tasks will have little time for a personal quota. If these areas are lacking, that's a more significant concern than closing deals.

Early-Stage Product Knowledge

It's highly beneficial for a new VP of Sales, even a CRO, to "carry a bag" for the first quarter or two. This hands-on experience allows them to deeply understand the product, which is crucial in today's competitive landscape. Be wary of a VP of Sales resistant to this approach.

Justifying the Cost

A successful VP of Sales will quickly prove their value by boosting team performance and driving revenue growth. If this isn't happening within a couple of quarters, the issue isn't their quota, but their overall effectiveness.

Focusing on Long-Term Growth

In summary, a VP of Sales with a small team can carry a small, temporary quota. However, the sooner they transition into a full leadership role, the better for your company's long-term growth. If they're closing deals because the team isn't performing, prioritize fixing the underlying team performance issues.

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